We study the channels of interstate risk sharing in Germany for the time period 1970 to 2006 following the methodology … 1994 pre-unification Germany we find that about 19 percent of shocks to a state's gross domestic product (GDP) are smoothed … period, we also split our sample between West and East German states. In West Germany, 63 percent of idiosyncratic income …

of active labor market policies. For immigrants having stayed more than 4 years in Germany, however, we do not find a …